Guardian Issue 61

The Guardian Political Review Produced by the New Zealand Democratic Party for Social Credit Inc. Issue No.61

Winter 2012

ISSN1176-614X

In this issue:

IT'S A MAD, MAD WORLD OF

Plus: Who can we trust?

Live in dignity - the case for a basic income The fight for New Plymouth

AND NEWS, REVIEWS, FEATURES & MORE

The Guardian Political Review

Issue 61, Winter 2012

Produced by Guardian Publishing on behalf of the N.Z. Democratic Party for Social Credit, PO Box 5164, Invercargill 9843 Tel/Fax: 07 829 5157. Email: democrats@democrats.org.nz

Website: www.democrats.org.nz

Editor: Tony Cardy, 26 Warren Street, Oamaru 9400. Tel/Fax: 03 434 5523. E-mail: editor@guardian.org.nz Web: www.guardian.org.nz

EDITORIAL The Society of Friends

When preparing the obituaries for this issue I was struck by the lifetime commitment of Margaret Hook, Charles Sitwell and Les Hunter to the ideals in which they believed. Their efforts must not be wasted.

Colin Weatherall’s comments are most appropriate: “The Election is over and although numbers for us were not encouraging the worse thing we can do is to pack up and go away, as I can see that our solutions are going to be needed – sooner rather than later.”

DSC leader Stephnie de Ruyter says “this presents the DSC with a sizeable, but not insurmountable, challenge. And we’ll be working hard to stand taller, speak more passionately, and make better sense than our political opponents to make sure

New Zealanders know who we are and what we stand for.”

Deputy leader John Pemberton agrees: “How many general elections must go by before people rise up and say ‘Enough is enough ‐ we will no longer accept the weasel words, the excuses, the blame, the bribes of the status quo politicians ‐ and we will no longer accept that there is no alternative’".

Margaret Hook, Charles Sitwell, Les Hunter and all those caring people who have gone before and are still with us are linked through a desire for common good ‐ a sense of purpose – a camaraderie.

The Quakers have a name for it: “The Society of Friends”.

The Guardian Political Review is available on-line at www.guardian.org.nz Visitors to the site will be able to browse through this and previous issues of our frontline publication. Your feedback on presentation, ease of navigation and functionality is invited.

CONTENTS

3

4

4

5

11

1 - Front Cover

13 - The Fight for New Plymouth

2 - Editorial

14 - Media Letters

3 - Leader's Message

13

15 - Tobin Hood

4 - John Pemberton

16 - Diary of Adrian Bayly

5 - Katherine Ransom + Executive List

17 - World News

6 - DSC Campaign

15

18 - Canadian Comment

7 - David Tranter

19 - Whitmill's World (1)

8 - Letters

20 - Whitmill's World (2)

9 - Power of printing money

17

21 - News Bites (1)

10 - Obituaries

22 - News Bites (2)

11 - Gareth Morgan

23 - News Bites (3)

12 - Reviews

Guardian Political Review, Issue 60, 2011 - Page 2

19

24 - Back cover

This issue is important

By Stephnie de Ruyter Leader, Democrats for Social Credit

privatisation, but little about the risks. And there are many: concerns have been voiced about ownership of the water which drives generation; Treaty issues need clarification; the impact of free trade agreement provisions is uncertain; social responsibility clauses are absent; continued ownership of the power companies’ individual assets is not guaranteed; rapid fluctuations in power prices may We need to focus on what works, not on occur; continued investment in an ideologically‐driven agenda dredged up renewable energy developments from an inglorious episode in our history may be jeopardised.

The relevant page on Parliament’s website states that the Mixed Ownership Model Bill currently before the House ‘removes companies in which the Government plans to sell a minority of shares from the ambit of the State‐Owned Enterprises Act 1986.’ It does, but there’s rather more to it than that bald statement of fact.

Meridian Energy, Mighty River Power, Genesis Power, Solid Energy, Air NZ: these are highly profitable State Owned Enterprises, strategic assets, built up by successive generations of New Zealanders and owned by us all. And now the government wants to sell those who can afford it a 49% stake in assets we already own. New Zealanders aren’t stupid. We know when we’re being conned.

The fiscal imperatives cited as justification for the proposed sales can be met more satisfactorily using other means. If the government genuinely desires to fund social policy initiatives and to control debt, it would be more sustainable and more beneficial to utilize the existing facilities of the Reserve Bank of New Zealand. After all, why should we borrow at interest from overseas financiers when we can borrow without interest from our own central bank? Direct government funding of infrastructure maintenance and development would be a great start.

The PM “guesstimates” that the sales might generate about $6 billion. That sounds useful, if the figure is realised, but given that the average total shareholder return from these SOEs is 18.5%, and that the cost of government borrowing is about 4%, it makes so much more sense to retain full public ownership of the assets and the substantial income they generate.

Much is being said about the potential benefits of partial

Reliable access to affordable power underpins the three basic human requirements: shelter, warmth, food.

Traditionally, power has been regarded as a public good in New Zealand. For it to remain so, the four power companies must be retained in full public ownership.

The proposed partial privatisations are further evidence of a government bereft of new ideas, resurrecting the failed policies of the past (think 1980s Rogernomics) in the faint hope that by doing what didn’t work before they will somehow get a better result this time. It’s not even logical.

It’s an easy fix, short‐sighted solution for cash‐strapped, indebted governments. And it’s very difficult to restore public ownership at a later date. The government must stop looking for short cuts: there aren’t any. We need to focus on what works, not on an ideologically‐driven agenda dredged up from an inglorious episode in our history.

The DSC is part of a broad community campaign to force a citizen initiated referendum on the proposed sales, the petition for which was launched on the 10th May. Do visit the website at www.keepourassets.org.nz to download a petition form and obtain additional information. This issue is important: it defines us as New Zealanders. Make sure your signature is one of the 350,000 required.

Election 2011 The Democrats for Social Credit Party was represented by a stellar team of candidates at last year’s election. Their dedication, commitment and tenacity were second to none.

They took the DSC message of new economics out onto the hustings with good humour and enthusiasm for the task at hand. Our candidates did a great job and we can be very proud of their efforts and of the support they received from local activists.

The election result was undeniably disappointing, as was the evident lack of voter interest in anything outside the

Guardian Political Review - Issue 61, 2012 - Page 3

existing (then) six ring parliamentary circus. Diversity in representation is essential in a modern democracy but in New Zealand it seems that to be elected to parliament, a party must already be represented there.

That presents the DSC with a sizeable, but not insurmountable, challenge. And we’ll be working hard to stand taller, speak more passionately, and make better sense than our political opponents to make sure New Zealanders know who we are and what we stand for.

Campaigning for the 2014 general election has commenced.

The Mad Mad World of Debt

By John Pemberton (Deputy leader Democrats for Social Credit)

Debt is a hot topic these days, although it did go off the radar, temporarily, during the Rugby World Cup. But it hasn't gone away and will certainly rebuild as America and in particular, the European Union grapple with their debt issues.

How bad is this debt thing?

As of June 2011 NZ Government: Core Crown Revenue: $57,550,000,000 Core Crown Expenditure: $70,450,000,000 Core Crown New Debt: $18,829,000,000 Core Crown Total Debt: $72,420,000,000

• 8000 more people are on the dole.

• Angry youths facing a bleak future grow more violent.

• 13,700 more people are on sickness and invalid benefits', ‐as poverty and deprivation take their toll on health.

We can't afford this waste of human life.

Alongside this growth in the underclass, rich‐listers have increased their wealth by up to 20%.

The current government has no intention of doing anything but enrich the already wealthy, and empower the already powerful ‐ even in the face of some of the worst disasters this country has ever known.

As of 30th June 2010, NZ So much debt has the effect of gathering How many general elections must Government's total debt (not core crown debt) made up only 15.5% of power into fewer and fewer hands and go by before people rise up and say "Enough is enough ‐ we will no NZ's total debt burden ‐ so you can leaving the rest of us powerless longer accept the weasel words, the imagine the debt burden we now excuses, the blame, the bribes of the status quo politicians ‐ service, as consumers, ratepayers, taxpayers and individuals. and we will no longer accept that there is no alternative" So much debt has the effect of gathering power into fewer Our successes to date, in getting our message out there, and fewer hands and leaving the rest of us powerless. are not obvious but we do have them.

During the 2008 credit crunch, the Reserve Bank stepped up They can be measured by: to the mark and provided credit lines to the major banks • the growing number of hits on our website when their funding lines from overseas dried up. The Reserve Bank used a source of funding that our party has promoted • the growing number of hits on my website for decades.

• our blogs Just to make this very clear ‐ our Reserve Bank operating • our face book pages under a policy of "The Lender of last Resort" quietly, • our followers on twitter efficiently and effectively provided funds (an overdraft facility • the tweeting and re‐tweeting of our monetary reform if you like) to replace the borrowing, commercial banks could articles or comments and those produced in the UK, USA and no longer obtain from overseas. from others in NZ Did anyone notice the difference between "Reserve Bank Money" circulating to the banks, and their customers and the previous money sourced from overseas? Nobody noticed a thing.

• the referrals or links from other websites to our respective websites, and

Of course the reverse also happened ‐ when the overseas funding streams came back on tap the Reserve Bank called in their loans and closed the facility down.

We know there is an alternative. This party has known for decades that "Money and Banking Policies" may be a boring political platform for a party to espouse, but they are not only central to any modern economy, but are important ‐ no, critical ‐ to the achievement of all that we desire in the areas of monetary, environmental and social justice for our people.

Imagine the cost savings if the government had funded last year's deficit (nearly $19 billion) with a similar facility provided by the Reserve Bank to commercial banks during the Global Financial Crash.

National came to power three years ago on the promise of a brighter future, and they continue to promise us a brighter future this election.

They need to, because on National's watch, the statistics are stark.

• Since 2008 almost 34,000 more children are living in poverty, and

Guardian Political Review, Issue 61 2012 - Page 4

• the growing number of email requests for information.

This fact has been magnified, in the public eye, since the global financial crisis of 2008.

Remember, implementing monetary reform in New Zealand is simple ‐ it is just a question of policy whether the Publicly Owned Reserve Bank of New Zealand is used wisely for the benefit of all New Zealanders or just for the powerful few.

(Extract from address to DSC 2011 Conference)

Austerity measures – a benefit for the wealthy

By Katherine Ransom (Vice president, Democrats for Social Credit)

The Government has circulated its proposals for welfare reform, which involve ensuring welfare recipients are ‘available and supported into … work’. Much of this is directed at solo parents, with a particularly draconian measure against women who bear another child while on the DPB, and who will be forced to look for work after the child is a year old – ‘in line with parental leave’.

These proposals beg several questions. The first is: What work will beneficiaries be supported into? What government policies are in place to create jobs? With an agenda of downsizing in all areas of the civil service and State Owned Enterprises, what is the point of harassing beneficiaries into applying for jobs that don’t exist? This round of welfare reform looks like cost‐free political posturing, playing on the fears and prejudices of the Haves at the expense of the Have‐nots, without having to actually do anything.

Another question is: Why is caring for children not considered work? Anyone who has raised a family knows what hard work it is, not to mention expensive, sometimes thankless, and often sleep deprived. Who really believes that any but a tiny minority of women would deliberately conceive a child in order to stay on what is euphemistically called a benefit? Who really is penalised by forcing a mother back to work when her baby is only a year old? The child in the care of strangers, that’s who.

We now have had a couple of generations of children who have grown up in households where both parents must work to make ends meet. The results of such fragmentation of family life are evident: rising youth crime and violence, teen pregnancy and more recently unemployment. Even well‐heeled children are exhibiting a me‐first attitude, a lack of empathy that society can ill afford. We are reaping the whirlwind of neoliberal economics. Squeezing solo parents only compounds the problem.

The real issue is that orthodox economists, and the politicians that listen to them, have it all backwards. Austerity doesn’t work, except for keeping money in the pockets of the already rich. The infamous trickle goes up, not down. Depriving people who are already deprived only hurts middle incomes, as small and medium businesses fail or lay off staff. Poverty is expensive in so many other ways. Give everyone a decent living income, and prosperity will soon be restored.

The cost of a universal basic income would easily be offset by a big increase in the revenue take, due to increased trade and employ‐ ment. People with just enough money to live on will spend it all on living. Meanwhile the costs to society inherent in deepening poverty would ease: health, justice, welfare. The trickle up effect may not reach the very wealthy, but then they don’t need more, do they?

Democrats for Social Credit Executive Contacts Leadership: Leader Stephnie de Ruyter PO Box 5164, Invercargill 9843 Ph/Fax; 03 215 7170 Mobile 027 442 4434 Email: democrats@democrats.org.nz Email: stephnie.deruyter@democrats.org.nz Deputy Leader John Pemberton PO Box 402, Matamata 3440 Ph 07 888 8564 Mobile 021 716 895 Email: iohn.pemberton@democrats.orq.nz Email: pemberi@slinqshot.co.nz Website: http://www.iohnpemberton.co.nz Biog: http://monetarviustice.blogspot.com Executive:

Auckland Region Neville Aitchison PO Box 113126, Newmarket, Auckland 1149 Mobile: 021 987 338 Email: neville.aitchison@democrats.orq.nz Waikato Region Ron Harsant, 1 Carey Street, Hamilton 3200 Ph: 07 847 8041 Email: ron.harsant@democrats.org.nz Email: corodoor@orcon.net.nz Eastern Region Barry Pulford 17 Caernarvon Drive, Flaxmere, Hastings 4120 Ph 06 879 9497 Mobile 027 288 5658 Email: barry.pulford@democrats.org.nz Email: brp51@xtra.co.nz

Party President David Wilson PO Box 60, Paparoa 0543, Northland Ph 09 431 7004 Fax 09 431 8615 Mobile: 027 494 7862 Email: david.wilson@democrats.org.nz

Western Region Heather M. Smith C/o 8 Darwin Street, Gisborne 4010 Ph/Fax 06 867 6668 Email: heather.smith@democrats.org. nz Email: heathermsmith@slingshot.co.nz

Vice-president Katherine Ransom PO Box 402, Matamata 3440 Ph 07 888 8564 Mobile 027 471 6891 Email: katherine.ransom@democrats.orq.nz Email: katransom@siinqshot.co.nz Blog: http://katherineransom.bioqspot.com

Wellington Region Mary Weddell 57 Shakespeare Ave, Upper Hutt 5018 Ph 04 971 7143 Fax 04 914 2405 Mobile 021 701 598 Email: mary.weddell@dernocrats,org.nz Email: weddell@paradise.net.nz

Northern & North Shore Regions Chris Leitch 42 Reyburn House Lane, Whangarei 0110 Ph 09 430 0089 Mobile: 021 922 098 Emafi: chris.leitch@democrats.org.nz Email: chris@instepdance.co.nz

Canterbury/West Coast-Tasman Regions Bob Fox 14 Charles St, Rangiora 7400 Ph 03 313 6774 Email: bob.fox@democrats.org.nz Email: foxhole@clear.net.nz

Guardian Political Review, Issue 61, 2012 - Page 5

Southern Region Hessel van Wieren PO Box 149, Cromwell 9342 Ph: 03 455 1389 Mobile: 027 441 6089 Email: hessel.vanwieren@democrats.org..nz Email: h.vanwieren@yahoo.co..nz Party Secretary Peter Ferguson 21 Okoroire Street, Tirau 3410 Mobile 027 243 7365 Email: peter_ferquson@xtra.co.nz Ex Officio Positions: 'Guardian Political Review' Editor Tony Cardy 26 Warren Street, Oamaru 9400 Ph/Fax: 03 434 5523 Email: editor@guardian.org.nz Email: cardy@callsouth.net.nz Website: http://www.guardian.org.nz Committee Convenors: Finance Committee Ken Goodhue PO Box 6028, Otaika, Whangarei 0147 Ph: 09 430 3826 Email: kenandvalerie@xtra.co.nz Policy Committee (acting/interim) John Pemberton (refer Deputy Leader's entry for details) Constitution Committee Neville Aitchison (refer Auckland Region President's entry for details)

CAMPAIGN

Otago Daily Times

31/10/11

Party sees chances with credit crisis

Alternative monetary policy. Democrats for Social Credit leader Stephnie de Ruyter and southern campaign manager Bob Warren.

The global credit crunch is providing opportunities for the Democrats for Social Credit to put forward their alternative monetary polities.

Leader Stephnie de Ruyter said in an interview that the world economies were caught up in the credit crisis.

"Ironically, at a time when the whole world is talking about the debt crisis, in New Zealand we have been concentrating on the Rugby World Cup, "We have been fed side issues, distractions and without the opportunity to really face what this means for New Zealand."

It was frustrating the spin from the Government had been very effective and people were not aware of the dangers the economy faced, she said.

Instead of borrowing from offshore, and digging the country into a hole of debt, the Democrats would make the money available through the Reserve Bank of New Zealand, Ms de Ruyter said.

"It doesn't make sense to borrow at interest from overseas.

The financial system needs to be owned by us and used for the benefit of all New Zealanders."

From 1978 to 1984, the Democrats for Social Credit enjoyed solid support from the electorate. If MMP had been operating, the party would, at one election, have been entitled to over 20% of the MPs.

Eye-catching mobile publicity for DSC 2011 Dunedin candidates Warren Voight and Jeremy Noble

Guardian Political Review, Issue 61, 2012 - Page 6

Who can we trust?

By David Tranter

B.Ed.(Oxon),B.A. (Canty), DSC Health Spokesperson

I have just been watching an episode of the old BBC TV series “Yes, Prime Minister”. It concerned the imminent failure of a bank which stood to lose 400 million pounds and would consequently embarrass the entire City of London financial empire. The series’ arch‐manipulator and chief advisor to the P.M. advised that worthy that his proposed appointment of a highly‐principled man as the new Governor of the Bank of England would bring disaster all round since he would undoubtedly insist on publicly revealing all that was going on behind the scenes. So an incompetent old establishment dodderer got the job.

Sure, it’s only a TV comedy, but when I look at what is happening now in the financial world in Europe and elsewhere I marvel at the TV scriptwriters’ insights. I’m no finance expert but even I can see that lending more money to already massively debt‐ridden countries in order to delay the day of judgment is nonsensical. Further, if as seems to be happening now, lenders are willing to write off chunks of a country’s debt in order to prolong the agony, then (1) How much profit are the lenders habitually making that they can afford to do this? And (2) if this is a workable solution then why not write off every country’s debt and start again? (I’m sure someone will shoot me down in flames over these thoughts but at least it might engender some useful discussion!).

This led me to reflect on other massive deceptions of the public by political/big‐business agendas over the last century.

A few which spring to mind are lead in petrol; huge spreading of DDT across the landscape; ditto for 1080 in New Zealand; fluoridation of public water supplies; TPPA negotiations; and in a completely different sector where I have had my eyes opened in recent years, the mass closure of residential mental health care facilities without convincing evidence to support such an agenda.

And now for another big one ‐ the political/big‐business deceit of the public by the greedies promoting the intriguingly‐named “fracking” process to obtain underground gas. Typifying the dishonest approach is a letter to the NZ Listener (1 March) in which a petroleum engineer specifies only, “surfactant (soap), guar gum as a viscosifier (used in ice cream and bread)” as chemicals used in fracking (the fracturing of rock to extract gas). Knowing something of the vast array of toxic substances commonly used in fracking my eyebrows headed skywards ‐ but not as far as they went on reading the engineer’s statement, “The recovered fluid is

Guardian Political Review, Issue 61 2012 - Page 7

separated and the water‐based portion is land‐farmed at David Tranter approved worm‐farm sites”.

Worm‐farms? Really? Just this week the ABC reported an episode where waste material from a fracking operation was dumped at an un‐approved site by a contractor who didn’t even know the nature of the material he was moving.

New York Authorities recognise the threat posed by fracking to the city's water catchment area. The City Council Environmental Protection Committee Chairman James Gennaro stated, “Gas drilling in the middle of our drinking water supply is one of the most potentially harmful policies to come out of Albany with regard to our health, our environment and our wallets".

The rapidly‐growing Lock‐the‐gate Alliance in Australia (I’ve just applied to join ‐ naturally!) is fighting the good fight for environmental and social justice which is at least slowing the process whereby mining giants were willy‐nilly walking onto farms and starting their risk‐laden processes which have, amongst many other dire possibilities, unpredictable consequences for the Great Artesian Basin upon which so much depends in Australia.

I sincerely hope that Kiwis start a similar challenge before the political/big‐business juggernaut gets its claws on Kiwi farmland ‐ and, as is happening here, on land very adjacent to many towns.

News Footnote: Concern in New Zealand has grown in the last year over “fracking” of deeply‐buried, gas‐bearing rocks and coal seams. it’s been linked to the contamination of aquifers, the setting off of earthquakes, and wide scale pollution Canada‐based Tag Oil is aggressively expanding its operations in Taranaki, and has permits over vast areas of the North Island’s East Coast, stretching from Te Puia Springs to southern Hawke’s Bay, where it is searching for oil held in deep shale rock.

A series of small earthquakes last year near Blackpool in England has been linked to a fracking project. A recent series of earthquakes in Oklahoma – including a magnitude 5.6 – may be linked to fracking in the state.

Wellington‐based L&M plans to explore “shale plays” in Canterbury and Southland.

The Government has rejected the Christchurch City Council's call for a moratorium on hydraulic fracturing in Canterbury.

WE HAVE MAIL ROBERT ANDERSON Thank you for the copy of the Guardian mentioning The Robert Anderson Memorial Award.

The award was presented by Tauranga Mayor, Stuart Crosby, and attended by people close to Bob and who had worked extensively with him on the issues he tackled.

His youngest daughter, Catherine, paid tribute to him on behalf of our family, and Dolores Flynn‐Edge, on behalf of Amnesty International, and Stuart Crosby also paid tribute.

Guardian readers may like to know that Bob's "Exploding the Myth of" series of seven books are still available: Genetic Engineering, Irradiated Foods, Electromag‐ netic Radiation, *Vaccination, *Fluoridation and Amalgam, (*Written with Mike Godfrey MBBS).

The End of Cheap Oil ‐ Remaking our Lives after Peak Oil, Nanotechnology ‐ and his last book 'You can't die for the life of you'.

Enquiries to roberta@clear.net.nz.

Regrettably, The Final Pollution: Genetic Apocalypse, The Ultimate War Crime, and At What Cost? are now out of print.

I worked beside Bob, yet since his death have been amazed at the reach of his work and contacts. I still get enquiries, follow ups, etc.

You may like to visit the website featuring his published work and lectures, sponsored

by The Blase Company (1988) Ltd, Auckland.

The additions are far from finished yet, but a good deal of his work features along with work from close associates @ www.connected.gen.nz.

Warm regards Jean Anderson

GREETINGS FROM GEOFFREY Greetings to many I have known in Social Credit ‐ not only seen at the odd Conference but also from the good old days of the 70s and 80s.

The Social Credit theory is still very close to my heart and, as some of you may know, I have visited many Embassies, where I have known their country to be in a turmoil over finance. Only one showed signs of real interest until, finally, I was informed that "only the E.E.C. was allowed to create new money" (and that was Greece). The rest gave scant attention to the possibilities ‐ and, of course, corruption runs rife in some of them.

So I say to the rest of you 'Crediters': keep up the good work, Geoffrey Morell, Washington DC

Guardian Political Review, Issue 61, 2012 - Page 8

WE ARE NEEDED

WHICH TO CHOOSE?

The Election is over and the numbers for us were not encouraging but the worse thing we can do is to pack up and go away, as I can see that our solutions are going to be needed – sooner rather than later.

For matters democratic, the country has to choose From different styles of voting to one that won't confuse.

First Past the Post has been well tried, then later was rejected, 'Cos winning power with fewer votes was not what we expected. Electorate wins were all they sought, the nation's vote ignored With voting high but no seats won, means no MPs on board. So smaller parties suffer in elections held like this And bright ideas with fresh new plans are likely to be missed.

The Supplementary Member style is FPP plus lists. To fill about a quarter of the parliamentary seats. But these are unlikely to affect the final score. As bigger parties gain a win and need not talk to more. Of any of the others or create a coalition. As all alone they rule the land and thus fulfil their mission.

The Preferential Voting style is what the Aussies use. No ticks but numbers writ to show the candidates we choose. The counting is exhaustive.

When no one clearly wins. The lowest candidate is dropped, his 1's go in the bins. And all his second preferences are added to the mix. And these could show a winner but then it may not fix.

The ever‐going problem so another one is dropped. Until a winner shows up: re‐distribution stopped. Quite simple for the voter whose candidates are numbered. t is with the counters that the challenge is lumbered. But never fear for help is near by electronic means. The software is available with timely aid it seems.

When using STV to vote the system is quite similar. To using Preferential, the numbering's familiar. But counting has a different twist. First quota must be met. Then redistribution of next choice, to gain a second rep. When done right, electorates grow to multi member ones. The lists are gone, results reflect the nation's voting sums.

The referendum votes have shown that MMP we'll keep But all agree the present style will need a little tweak.

The brokering of deals before the vote has caused dismay; All those top jobs for one MP is a!so not the way The voters saw the outcome for a one percentage party But Mr Banks is one for whom his laughter will be hearty.

So which to choose? Well MMP will stay just now it seems. But STV is the choice of my election dreams.

Margaret Cook, Invercargill

The NZ Institute of Economic Research’s principal economist, Shamubeel Eagub, predicts a worsening of the global economy – and I note that it was published in the Otago Daily Times after Election Day. A financial crisis can happen quite quickly and we need to be ready when the public demands answers. The use of the internet is a must‐do to spread the message, as the media do not want to know our solutions.

Colin Weatherall, Milton

DEBT AS MONEY Given the recent Global Financial Crisis, perhaps it would be timely to re‐read Social Credit and what Douglas saw as the link between a reformed monetary system based on a debt‐free concept of purchasing power and a system of direct democracy to ensure apolitical allocation of resources.

The debt‐as‐money mechanism is the single identifiable barrier to progress, prosperity and peace. Once this is addressed many of problems around production, distribution and consumption will simply go away.

Trevor Crosbie, Hamilton

MEANINGFUL EMPLOYMENT In the Social Credit view, "unemployment" is not a problem but, properly conceived, is a blessing of leisure wherein the individual is set free increasingly to pursue ends and activities of his or her own choice.

Our DSC policy is that any citizen who wishes to work will be guaranteed meaningful (useful) employment.

Many unemployed people have a deep feeling of rejection by the community as a whole. At present there is an immense amount of desirable ‐ much almost essential ‐ work not being done in relation to the environment, ranging from care of the elderly and handicapped to things like prevention of soil erosion and clearing waste plastic off beaches.

Far too much of what is done in this country is done by voluntary unpaid organisations, which is a great statement of national character but, unfortunately, their efforts are limited.

I am sure that in a consumer‐dominated environment production will grow with an increase of ‘care’ jobs like this that cannot be done by machinery. The unemployment problem will just disappear, as it did in wartime and for some time afterwards.

No government in debt would be able to carry out Social Credit policies. Dealing with debt must be our first concern.

John Rawson, Whangarei

Letters or emails should be sent to The Guardian Political Review, 26 Warren Street, Oamaru 9400, NZ. Tel/Fax: 03 434 5523. E-mail: editor@guardian.org.nz The editor reserves the right to edit or abridge. The views expressed are not necessarily those of the editor or the NZ Democratic Party for Social Credit.

MEDIA

Friday March 2, 2012

Power of printing money Bernard Hickey from interest.co.nz I am about to commit economic heresy, but at least I'm in auspicious company and it's something our own Reserve Bank and government has done before.

It's time the Reserve Bank of New Zealand started printing money and lending to our government to build houses and infrastructure, particularly in Christchurch.

This process, known as "quantitative easing", is often a last resort after interest rates have been cut to almost zero.

Many argue it has been ineffective because the money went straight into the banking system and parked there, or was used to pump up the prices of various assets, including shares, gold and bonds.

Even a couple of years ago, this Lending this new money I am about to commit economic heresy would have been unthinkable to say, directly to governments to spend even treasonous. I'm sure many readers will still believe such immediately on infrastructure, goods and services would have money‐printing is dangerous madness guaranteed to debase been a much wiser idea. China did this most effectively. the currency, create hyper‐inflation and empower politicians However, this also only works when it doesn't create to go on an even bigger spending spree. inflation.

But we've been here before and right now our major trading partners are doing exactly this. We should at least be talking about it.

Back in the very early days of the Reserve Bank, shortly after the first Labour Government was elected in 1935, the bank lent money created out of thin air to the government and producer boards. It was used to build state houses and help fund exports of meat, wool and dairy products.

This first bout of quantitative easing helped pull the New Zealand economy out of the Great Depression of the 1930s although, to be fair, many other policy actions taken by the previous centre‐right United‐Reform coalition helped rebuild the economy and reduce unemployment.

New Zealand benefited with the rest of the British Empire when the British pound was removed from the gold standard and the local economy rebounded after it devalued its currency against the pound in 1933.

But the creation of the Reserve Bank in 1934 and the drive, led by Labour's John A. Lee, for a state house‐building programme led to the Reserve Bank being nationalised and starting to lend to the government.

Fast‐forward to the global financial crisis. Now central banks throughout the Northern Hemisphere are doing similar things.

The United States Federal Reserve, the Bank of Japan, the Bank of England, the Peoples' Bank of China and the European Central Bank have printed a combined US$10 trillion ($12 trillion) in the past four years and spent it on all manner of bonds and cash injections into banking systems.

Guardian Political Review, Issue 61 - Page 9

This is the crucial question that is now being debated by a relatively new brand of economics known as "modern monetary theory", which says deficit spending from newly printed money is unlikely to create inflation as long as there are unemployed people and assets such as buildings and machinery sitting around doing nothing.

The Reserve Bank has already said such a quantitative easing could be considered, but not yet because it has room to cut its official cash rate further towards 0 per cent from 2.5 per cent.

But isn't it better for our Government to be borrowing from its own central bank than from foreign banks and pension funds? Wouldn't it be better employing the unemployed to build new houses and repair Christchurch's infrastructure than to just sit back and let it happen? Wouldn't it be better to print the money to fund the deficit than choose to sell public assets to do it? It would devalue our currency, but is that such a bad thing when we need to boost our exports?

The big question concerns inflation. At present, New Zealand's inflation is under control and the experience in Japan is that money‐printing over decades has not created inflation.

Neither is it creating inflation in Europe or the US at the moment.

Here endeth the heresy and the history lesson.

For further comments see: Bernard Hickey: Money‐printing will work if controlled ‐ Business ‐ NZ Herald News

OBITUARIES

Margaret Anne Hook 1943 ‐ 2011 Loyalty and effectiveness

this was all about.

Soon after that, Margaret joined the Party and it was not long before her obvious ability got her the job of local Secretary. From there she quickly became a prominent and dependable member of the Branch organisation.

Foreword by Stephnie de Ruyter: It is with much sadness and deep regret that I let you all know that our lovely, loyal Margaret Hook passed away after a brief illness. Margaret's passing leaves a huge gap in our organisation and for many of us, in our personal lives as well. Her loss will be keenly felt by DSC members past and present.

Tribute from John Rawson and Chris Leitch: It was the evening of the 5th October 1968.

Vern Cracknell MP had a double booking for the night. A stand‐in speaker was needed to go up and speak at Opononi to a meeting organised by the South Hokianga Sub‐Branch. The Chairman was Stephen Brindle, neighbour, friend and Social Credit associate there of the Rawson family from the early days of Rushworth and the Country Party.

One person attending was an attractive young lady who came up from Waimamaku to see what

About nine years later, she moved with her son Andrew and daughter Marion to Whangarei, where she soon was a valued member of the Branch. Not long after that, she became Secretary of the Party’s Divisional Council.

At about that time, the new Whangarei Museum was set up, and Margaret became its first Secretary and served it well for the next twelve years. As in Social Credit, her efforts extended well beyond that which she was expected to do. They included setting up a small group of volunteers, and, with them, baking cakes and serving teas on "Open Days” to help a struggling organisation pay it’s way, including her salary.

In 1990, she moved to Auckland and took up the job of Party Secretary under President Chris Leitch, where again her efforts proved invaluable.

Her organisational skills were second to none, be it in regard to the plethora of paperwork required for Executive meetings, the conduct of Annual

Conferences, or compilation and distribution of material for Annual Plan presentations to local Councils across the country. Down‐to‐earth common sense and attention to details were her hallmarks.

A few years later, Margaret moved to Hamilton to be closer to Marion, then married, and her grandchildren.

She was Secretary for the combined Branch there and also acted as membership Secretary for the Party.

She also found time to be heavily involved with the local kindergarten committee, the VW car owners’ club, and several other groups.

If two words were needed to describe Margaret, they would be loyalty and effectiveness.

Everyone she worked with got her absolute and complete support. If work had to be done for a particular time ‐ that was what happened. In the process, she often worked to half‐past‐three or later in the morning to ensure a job was completed perfectly. If a function was imminent, one never looked for her among those standing round beforehand. She would be, invariably, in the back somewhere, working.

Her loss to the Party has left a gap that may never be fully filled again.

Charles Hervey Wilmot‐Sitwell A life‐long contribution I first met Charles Sitwell in Te Kuiti during the Taranaki/King Country By Election when we were part of the Alliance and Kevin Campbell was the candidate, Charles was one of the scrutineers and helped out with the computers at campaign HQ. I took the Coromandel caravan down and when it was time to come home we loaded the computers and other equipment into the caravan and I delivered Charles and the equipment back to Hamilton before returning back to Whitianga. It was not until I moved to Hamilton many years later and joined the Hamilton Branch, that I got to know Charles and worked with him. He was always ready to put his hand up when there was something to do; he served on the committee of the Hamilton Branch, was vice‐President for the last two years and was on the Waikato Campaign committee right up to his passing. He was to attend a campaign meeting the night after his passing but, sadly, it was not to be.

I travelled around both the Waikato and Auckland Regions early this year signing up unpaid memberships. Charles came with me to Auckland; we had eighteen members to visit and Charles did most of the work. It was a great reunion for Charles as he had not seen many of them in

years, and came home with a smile on his face having met so many old friends and signing up so many memberships. Sadly this was to be his last trip to Auckland.

RIP Charles; we will all miss you.

Ron Harsant, Waikato Regional President.

Our close personal relationship will be one of the oldest, having continued warm for over half a century.

During 1959 I met Charles in Marama Street, where he had just booked into the boarding house, at No. 19.

I had not long before bought No. 18, as a young married man, with a teaching position at Fairfield School.

With Charles family and connections 12,000 miles away in England, and mine scattered around Godzone, we had much in common. And he seemed a good candidate to practice the Jaycee Philosophy on. That is, and was more actively in those days, to get young men involved and enthused about Community Service, and leadership development.

Charles responded promptly ‐ and from that blossomed decades of sustained, high level Jaycee activity.

Such encompassed a variety of activities like building the first Hamilton Lake playground, to forming campaigning committees, to have our candidates elected on to Hamilton City Council.

Yes, at peak 9 of the 17 Councillors were ex‐, or current Jaycees.

We also shared a common interest in politics with the Social Credit philosophy offering the biggest challenge, and closest to the ideal.

And that as we know, became a lifelong passion, like the Theosophical Society, that he was able to enhance from his Jaycee training through his growth and development decades in the Hub of the Waikato. But Charles H. Wilmot‐SitwelPs involvement with, and contributions to his community went much deeper than that.

He brought to what we half‐seriously called "the colonies" a solid English school education.

This fitted him well for a full involvement in the valued work of the world leading Ruakura Research station. And when a switch was finally made, Charles went up the hill for his remaining working years to the Computer Department of the Waikato's own University.

So thank you Charles for your life‐long contributions. Don Bethune

Les Hunter I received news late last night that Les Hunter passed away on 30 April, after a brief illness. Les made a mighty contribution over many, many years to the social credit cause and had continued to do so right up until the end of last year. A hard working & effective Deputy Leader, Parliamentary

Guardian Political Review, Issue 61, 2012 - Page 10

Researcher, candidate, Finance Spokesman, and so much more….he performed his numerous tasks with a wonderfully voluble enthusiasm and passionate certainty about the pressing need for monetary reform.

Stephnie de Ruyter 3/5/12

Live in dignity ‐ the case for a universal basic income

By Gareth Morgan (Director Gareth Morgan Investments) www.gmi.co.nz/bigkahuna

New Zealand’s tax and welfare policies are a mess. Could the solution be abolishing the current welfare system and radically overhauling the tax system?

Is the whole point of a tax and welfare system to redistribute from the well‐off to the rest (we say it is)? Or is it just to transfer only to those in need ‐ the “deserving poor”? There is a big difference, and our welfare state has strayed from its origins.

ensuring everyone has the means to live while giving them the freedom to live their lives as they choose.

What is the alternative to a universal transfer?

The alternative – targeted transfers – involves discriminating between people. Some get more support than others. But on

Put some radical changes to tax and welfare on the table.

what basis should we discriminate between people? By the

Everyone aged 18 or over gets an unconditional, tax‐free

number of children they look after perhaps ‐ but what about

basic income (called the UBI).

This basic income replaces all other government‐provided

the number of dependent elderly parents they care for, or the step children that they care for when other parents also

cash transfers ‐ NZ Super, DPB, Unemployment Benefit,

provide support? What about those who contribute a lot of

Working for Families.

time and money to their wider community, or who have high

All income is taxed at a single flat rate.

All capital should make a minimum required return, and that should be taxable ‐ every year. No exemptions for your home.

Why an Unconditional Basic Income (UBI)?

Paying universal transfers acknowledges that every individual has the same unconditional right – to a basic income sufficient for them to live in dignity. The Uncondi‐ tional Basic Income (UBI) provides this.

With this basic protection in place people are then free to

health costs? In practice it is not possible to credibly discriminate between people so many fall through the cracks of targeted transfers. As well, the very process of identifying “the needy” stigmatises people, removes the choices of those who receive help and exacerbates social divisions.

This is what the New Zealand Royal Commission on Social Policy had to say in 1988 about universal and targeted transfers: “Universalism recognises that we are all members of society… being New Zealanders entitles and engages all of us, whatever our ages or circumstances, and support measures should be rights based. And those eligible for income support

add to that income through paid work if they choose. Equally,

should not be subject to unnecessary and stigmatising

they can live on the UBI and pursue other activities – doing

procedures to establish what is theirs as a basic right."

the unpaid work of caring for children or others in their community for example, or studying full time, or pursuing new business ventures. The UBI offers the prospect of

Guardian Political Review, Issue 61, 2012 - Page 11

Democrats for Social Credit policies will: • Promote the right of every New Zealander to have an adequate basic income

REVIEWS

The Third Wave; Poisoning the Land

By W. F. Benfield Published by Tross Publishing, Wellington. (2011). Price $30.00

Reviewed by David Tranter Health Spokesman, NZ Democrats for Social Credit

Given the huge resources available for 1080 promotion in New Zealand this compact volume is an invaluable reference for those questioning the official 1080 agendas but who do not have the resources to search for information to rebut the endlessly repeated dogma from the pro‐1080 lobby.

Benfield describes the hugely damaging effects of human occupation in New Zealand particularly citing the disastrous loss of the forest browsing capacity of moa. Contrary to the current dogma that all introduced browsing animals should be eliminated the author describes how browsing is essential to the health of forests, something which the policy‐makers appear not to understand or which they deliberately ignore.

Benfield presents a thoroughly convincing argument that this “native good, exotic bad” mantra has resulted in a futile agenda whereby DoC/AHB/Forest and Bird are mis‐ guidedly seeking to re‐invent a bygone forest situation rather than dealing realistically with what actually exists today. He also describes the pro‐1080 organisations’ bureaucratic empire‐building processes which will be

familiar to those who see the same agendas in other fields where relevant experience and knowledge goes out the window as promotion demands adherence to flawed policies.

Backed by a comprehensive reference section of sources validating his arguments the author disproves propaganda such as the claims that possums are destroying the forests. He also highlights the importance of the 1080‐vulnerable invertebrates to the entire forest life cycle. His discussion of how other countries have eliminated bovine TB without mass poisoning of the countryside raises the question as to why their methods are ignored in New Zealand.

This thoroughly validated account of DOC/AHB/Forest and Bird manipulation of public opinion ignoring all evidence disproving their policies should be essential reading for everyone who cares for the New Zealand environment and the creatures which live in it.

Footnote: It is a sad indictment of the political process in New Zealand that last year the Parliamentary Commissioner for the

Environment produced a report completely endorsing the entire 1080 agenda and subsequently refused my request for a list of the people she consulted for her report citing that her office is not subject to the Official Information Act. I have many contacts in the 1080 protest movement and none of them were consulted by the Commissioner ‐ yet she claims she consulted both for and against views. If so, why is she unwilling to prove it ‐ regardless of whether or not she has to under the OIA?

The Corruption of New Zealand Democracy

By John Robinson

THE CORRUPTION OF NEW ZEALAND DEMOCRACY A Treaty Overview JOHN ROBINSON

For those raised on the standard New Zealand school history curriculum this book will be an eye‐opener. Essentially the author debunks the whole basis of what has come to be known as the Maori grievance industry since the evidence cited shows that while there were some negative aspects to European settlement most of the harm done to Maori was self‐inflicted with the majority of population loss occurring between 1800 and 1840. The distortion of “official” statistics used to present a different picture is described in detail and deserves to be widely understood in order to correct the deceitfulness of the on‐going political Guardian Political Review, Issue 61 - Page 12

Published by Tross Publishing, Wellington (2011). Price $20

Reviewed by David Tranter Health Spokesman, NZ Democrats for Social Credit

appeasement agenda which threatens, largely through the foreshore and seabed issue, to hand undue control to the Maori corporate elite while simultaneously opening up the prospect of apartheid in New Zealand society.

The devious role of Attorney General and Treaty Negotiations Minister Chris Finlayson with his massive conflicts of interest is also highlighted as it was in Dr. Hugh Barr’s book, “The Gathering Storm over the Foreshore and Seabed”. Robinson’s documentation of Finlayson’s preferential treatment of Maori and his utter contempt for non‐Maori views will startle those unfamiliar with these matters and must surely raise serious questioning of the manner in which the democratic process is being completely undermined by elected politicians. Robinson also points to the self‐contradictory nature of the Treaty of Waitangi and its more recent interpretations which claim equal treatment for all but give special preferences to Maori.

The author gives some startling examples of how Maori are getting multiple representation on local bodies such as in Auckland and Wellington and also points out, “Such race‐based authority does not give

additional voting powers to the Maori electorate, but rather to appointments from the Maori elite” (p. 43). Writing of payments to Maori Commissioners for consultation to the Greater Wellington Regional Council he states; “These payments are to the few with inherited position. The money does not reach the disadvantaged many in the outer suburbs of Wellington….”. This is a recurring theme which clearly shows that many Maori leaders are simply cashing in for personal gain while ignoring the plight of the less privileged among their people.

The corruption as specified in the title of this book is most clearly exemplified by National’s reversal of its position prior to the last election which stood for equal treatment for all and retention of public ownership of the foreshore and seabed, yet is now reversed in order to obtain the Maori Party votes needed to keep National in power.

This book will offend many who have climbed on the race bandwagon but it should be seen as part of the information the public needs to know if solutions are to be found regarding the growing crisis both in New Zealand politics and in the move towards an apartheid society.

The Fight for New Plymouth Personal report on the New Plymouth District Council Meeting (13/11/11)

By Mary Byrne, Fluoride Action Network NZ www.fannz.org.nz

New Plymouth district councillors met to decide on the outcome of the recent Tribunal Hearing. The meeting got off to a shaky start with Cr Bublitz putting forward a motion to continue with the status‐quo of fluoridation for New Plymouth and no fluoridation for the townships of Okato, Oakura and Inglewood. This was seconded by Maurice Betts. Neither of these guys appears to have understood the inconvenient truth ‐ that the theory of fluoride needing to be ingested has been totally discredited. What don't they It's been get about that? It's like they have a religious belief that cannot be shaken no matter what the facts. So it wasn't looking too good at that point.

But then Shaun Biesek got up and said he didn't agree. He also pointed out that voting for the status quo was nonsense as they either believed in fluoridation or they didn't.

He then went on to say that there was far too much doubt of either efficacy or safety.

He then put forward a shadow motion of stopping fluoridation entirely. This was supported by Sherril George who gave a really good common sense speech on why it should be stopped. She said the MoH have been wrong about a number of things including 2‐4‐5‐T. Next up was Andrew Judd who said that he considered himself conservative and had come into the Tribunal Hearing believing that the health authorities would be right but had had to re‐evaluate and now realised they were wrong.

Cr Marie Pearce, whom I can't remember asking any questions during the whole Tribunal thought the status quo motion was also nonsense but wanted to extend fluoridation to all the unfluoridated parts.

After that, Lance Girling‐Butcher explained how it had been a very hard decision for him but he was erring on the side of caution so would support Shaun Biesek's motion. He suggested that an amendment be made to use the money earmarked for fluoridation for a joint education campaign with the DHB. This was a very clever move.

Next up was Cr Quinney. At first I

Guardian Political Review, Issue 61 - p13

thought 'yes ‐ he comes from Christchurch ‐ people who have lived without fluoridation are so much less likely to support it', but then he said he had really bad teeth while he was growing up and had vivid memories of the 'murder house'. Oh no! But wait, then he says he went home and looked at his children’s teeth and they had dental fluorosis and so did his wife! He then repeated our mantra 'if in doubt leave it out'.

a

of the amendment. I was still on the edge of my seat as I couldn't believe they would actually vote to stop. Finally, Shaun's motion with the amendment is up for vote.

All the councillors vote to support it.

Absolutely fantastic!

It was very interesting that after the pro‐ fluoride councillors lost the motion they were all happy to support the motion to stop. Makes you wonder if they were just giving their pro‐fluoride speeches for the sake of looking good in front of tremendous effort by many people their friends in the community. But who knows?

Now a surprise cab off the rank ‐ Heather

Dodunski. She is the one we all thought would never change her mind. But hello, hello, she did! She said that it was time to make a decision.

She had been on the council when they had the last Hearing and now she had changed her mind. She couldn't see how parents could access unfluoridated water for bottle feeding. Yippee!

And then Howie Tamati lets the side down and says he felt defensive by the rally outside council and had to try and disassociate his decision from that, by chilling out in Rarotonga (harden up Howie).

Howie goes for status quo.

Somewhere amongst that the deputy mayor also said he supported the status quo and so did Mayor Harry Dunyhoven, no surprises there. Also, amongst that Horse McLeod says he always opted for safety first, therefore no fluoride. He said he had been to lots of countries around the world and found that people in really poor places without dairies on every corner had beautiful teeth. He seconded Shaun Beisek's motion.

So it goes to the vote and only 5 votes for the original motion of status quo. More discussion while they decide on the wording

The headline says it all

Fluoridation took up the whole of the front page of the Taranaki Daily News today (headline reproduced below). www.stuff.co.nz/taranaki‐daily‐ws/news/5783079

Two of the most memorable comments came from Council spokesman Brent Manning and pro‐fluoridation dentist Mr Antunovic. Brent Manning said 'the fluoride could not be returned to the supplier and letting it run out was the cheapest way of disposing of the chemical'. Perhaps people might like to email their local councilors (if fluoridated) and ask how much it would cost to dispose of this chemical if they weren’t putting it in the drinking water.

Mr Antunovic said 'Democracy's stupidity has been exposed by the New Plymouth District Council's decision to stop fluoridating its water'. Talk about showing his true colours. Apart from thinking that 'clever' people like him should be allowed to medicate other people against their wishes, he obviously thinks only 'clever' people like him should be allowed to vote.

It's been a tremendous effort by many people and I've felt excited and lucky to have been a part of it.

Now for the rest of New Zealand.

MEDIA LETTERS Otago Daily Times 25/7/11 I heartily endorse the sentiment of Hessel van Wieren when he says "beware of ex‐ money traders dressed as warm, friendly salesmen" (referring to John Key). To change the metaphor, beware of ex‐money traders who dress as good shepherds to gently lead the sheep straight into the fold of the international global bankers, behind Ireland and Greece.

Asset sales that eventually go off‐shore, injudicious spending, undercutting of the poor to prop up the rich, buying rail carriages from China, borrowing at rates that we can't repay — a second term with Key spells big trouble for New Zealand.

Jenny Drew, Maori Hill (Hessel van Wieren was DSC Waitaki candidate)

The good shepherd?

Northern Advocate 28/2/12 Is it just coincidence that the public often get handed a minor item to get excited about while a big one slides through without notice?

The proposed Trans Pacific “free” trade agreement, being negotiated in secret, could do much more to harm New Zealand’s sovereignty that the sale of a few farms to Chinese interests. The Chinese can’t take our land away; this agreement could take away our rights to regulate our booze trade, our tobacco industry, our tendering of works and many other aspects.

Labour is predictably silent on this; it has a long history of internationalism starting with Walter Nash’s involvement in formation of those disastrous bodies, the IMF and World Bank. This continued, through Roger Douglas’ sellout to the corporates, to its willingness to sign the equally disastrous Multilateral Agreement on Investment a few years ago and its 2008 attempt to destroy our health food industry for the benefit of the big pharmaceutical companies. The Greens appear to be blissfully unaware of the threats this agreement could present to so many of their policies.

The Social Credit movement is well aware of the problem.

John G Rawson, Whangarei Otago Daily Times 27/9/11 There have been many headlines in the Otago Daily Times lately about the debt crisis worldwide caused increasingly by

Guardian Political Review, Issue 61 - Page 14

unethical practices in a deregulated finance industry. Since its inception, the Democrats tor Social Credit party has warned that the debt system of finance that we are all having to use is flawed and they have offered practical alternatives which are now even more needed and relevant.

Colin Weatherall, Milton Sunday Star‐Times 2/10/11 Chinese State banks are in New Zealand offering to provide money to rebuild Christchurch and build Auckland railways, roads or any infrastructure New Zealand needs.

The Chinese banks would just print the money the same as all other international banks do, but it will cost us rate payers and taxpayers the responsibility to repay huge interest bearing debts to pay the interest and principle of the loans.

Our Government has the legal right to instruct our existing State Kiwibank, it's ours, to print the money needed debt free to build our infrastructure. If existing State banks will not cooperate then it is Government's duty to start a new Independent State Bank staffed with appropriate staff, chartered accountants who would be instructed to do the mathematics.

Assessing how much money needed is only simple mathematics and the new Independent State Bank can create it debt free, no cost to anybody. We have the materials and labour in New Zealand, the need is there, so just let's get on and do it.

Henry Raynel, Auckland.

Greymouth Star 23/1/12 The extent to which pro‐1080 lobbyists will go in their propaganda is again illustrated by a recent statement from the editor of the New Zealand Ecological Society newsletter.

Having lambasted those opposed to 1080 the editor, Debra Wotton of Landcare Research Lincoln, wrote in the December newsletter, “We need to dramatically improve the ecological knowledge of the general public” and continued with, “I’ve always said we need to indoctrinate children when they’re young”.

The sinister connotations of indoctrinating children when they’re young ‐ whether it be about 1080 or such matters as the modern nonsense of living on credit with its accompanying crippling debt‐for‐life ‐ will not be lost on those who feel concern about the innumerable “experts” who seem to think that indoctrination should replace education regarding crucial issues facing our society.

Indoctrination, whether by politicians, bureaucrats, or others with closed minds, is a blight upon a civilised society and should be opposed by all who care for genuine education.

David Tranter Health Spokesman,NZ Democrats for Social Credit.

Otago Daily Times 8/3/12 National MP Jacqui Dean says the Government needs the money from the sales of assets to fund schools and hospitals.

Why? They are already paid for out of the Consolidated Fund by the taxpayer. Our publicly‐owned Reserve Bank is able (with the will of Government) to provide debt‐free (no interest) money for schools, hospitals, roads, bridges etc. without having to borrow from the private banking sector, or selling off our assets.

Bob Warren, Andersons Bay (Bob Warren was DSC Southern Region President)

Nelson Mail 19/11/11 The economic state of New Zealand in the 1930s Depression was a similar state to that in which we now find ourselves.

The nation was facing massive national indebtedness and untenable unemployment.

When the Savage Labour government was elected in 1935, it adopted a social credit policy of using the Reserve Bank to create credit to help relieve the effects of the depression and reverse deflationary policies of previous governments.

In 1936, Labour used Reserve Bank credit at 1 per cent interest to help finance the building of 6459 state houses and let contracts for a further 3894.

The Democrats for Social Credit (DSC) monetary reform would see a New Zealand monetary authority (NZMA) established that could create credit and manage money as a public utility, for the economic, social and environmental benefit of New Zealand and its people.

Trading banks would become licensed agents of the monetary authority, advancing to their clients credit made available by the NZMA. Interest charges would be at a low rate to ease the inflation burden of repayment.

This is a better method of financing infrastructure than the present system of banking.

Adrian Bayly, Nelson.

Gisborne Herald 18/11/11 Not since the 1930s has New Zealand been in greater need of the Social Credit agenda.

It is only now that the realisation seems at last to have dawned that our comparative economic decline might, just might, have something to do with the economic policy settings we have faithfully followed for 25 years.

To get the debate under way is not of course to win the argument. But whatever the outcome, our public life will be stronger for reopening a real discussion about the role of government and money creation in achieving economic success. And not for the first time, we might even lead a worldwide trend.

Harry Smith, Gisborne

Eminent economist James Tobin in 1972 suggested a financial transaction tax on spot‐ market currency conversions. Many others have supported him. That includes people who don't like money and think of a financial transaction tax as a sin tax. (Tobin certainly did not. He was awarded a Nobel Prize for contributions to monetary theory; he knew money was necessary for the specialisation that gives a high standard of living).

Tobin's concern was that there was an imbalance In the speed of transactions between the real (production and expenditure) economy and the financial sector.

My thinking is influenced by the extraordinary fact that trading in the New Zealand dollar is far out of line with the size of our economy; by some measures it is the most extreme of global currencies. The financial sector will argue that it contributes to the economy in terms of jobs and profits.

So does the Cosa Nostra. Does that mean it

makes a positive contribution?

enthusiasm either.

Recent events suggest that some of the financial system’s activities amount to gambling with other people's money‐ profiting from charging the client, not from taking the risk. When it all turned to custard, the financiers were hardly exposed; when they were, they expected the taxpayer to bail them out.

In January, French President Nicolas Sarkozy announced that France would impose a tax on high‐frequency trading, at a rate of 0.1%. He expects it to raise €1 billion a year (a New Zealand equivalent would bring in about $170 million). The new tax will cut the French deficit and Sarkozy hopes other members of the European Monetary Union will follow.

Gambling on the New Zealand dollar probably undermines New Zealand business outside the financial system. A low turnover tax will discourage some gambling excesses, making the financial system more efficient and effective.

About 1000 economists ‐ some as eminent as Tobin was, some as lowly as me ‐ have signed a petition supporting a financial transaction tax. Recently the European Union proposed adopting one. The great financial centres of London and New York are strongly resisting the idea, and their East Asian equivalents are not showing much

We should be a "fast follower", so when the EU introduces one we should do so soon after, as far as possible aligning our tax coverage with Europe's, And we should encourage other countries to join us.

Hopefully, in the depths of the bureaucracy, a small team is pondering such a tax for New Zealand.

More importantly, the tax would reduce some of the dangers that high‐spinning financial transactions expose the economy to.

(Extract from NZ Listener 12/3/12)

From the Robin Hood Team (UK)

David Cameron calls it ‘madness’. And George Osborne would rather let the rich pay less than tax the banks. But millions of people know that the Robin Hood Tax makes sense.

City expert rubbishes anti‐RHT claims When the Robin Hood Tax started to get serious, a slew of 'reports' appeared outlining how the tax would variously destroy the financial sector, pensions and jobs. This doesn’t add up. But don’t take our word for it. Just ask City Expert and ex‐senior banker Avinash Persaud.

It’s been an amazing two years – and 2012 is full of opportunity.

Four of Europe’s five biggest economies – France, Germany, Spain and Italy – are now hoping to set up a financial transactions tax.

He recently pointed out that a Robin Hood Tax in the UK is likely to add to GDP and create the equivalent of 75,000 jobs – by injecting billions into the economy and rebalancing it away from the City.

Not a Robin Hood Budget

We’re going from strength to strength.

The (U.K.) Coalition Government took our name in vain when they trailed a ‘Robin Hood Budget’. It was less Robin Hood and more Sheriff of Nottingham – protecting millionaires and taking from the millions.

Around the world there are campaigns in 21 countries represent‐ ing 220 million people. And that’s not to mention the leading international figures on our side, including Bill Gates, Desmond Tutu, the Pope and 1,000 economists.

It also came shortly after this year’s bonus announcements with Barclays alone announcing £1.5bn in bonuses – yet another sign that the banks are living in a parallel universe.

Together, this growing movement will make this tax happen – saving public services, kick‐starting a green economy and tackling poverty at home and around the world.

Democrats for Social Credit are committed to: • Replacing GST with a financial transactions tax (The Robin Hood Tax) • Setting the level of transactions tax at a very low percentage • Relieving businesses of compliance costs when GST is phased out • Collecting the tax through data bank facilities on every bank transaction at point of withdrawal • Making the total amount of revenue raised available for Government spending as there will be no collection costs, just bank transfers • Automatically increasing everyone's spending power as the GST level is far higher than any transactions tax need be

Guardian Political Review, Issue 61, 2012 - Page 15

The Diary of Adrian Bayly Nelson-based Adrian Bayly keeps a close eye on the political scene in New Zealand and overseas.

August 3, 2011

Margaret Hook Today I learned that Margaret Hook had passed away. It saddens me to hear that she is gone. I used to meet her at Party HQ in Auckland and at several Conferences over the last 30 years. She was a dedicated Social Crediter and a most able General Secretary. (See Obituary).

November 19, 2011

Monetary reform The economic state of New Zealand in the 1930s Depression was a similar state to that in which we now find ourselves. The nation was facing massive national indebtedness and untenable unemployment.

When the Savage Labour government was elected in 1935, it adopted a social credit policy of using the Reserve Bank to create credit to help relieve the effects of the depression and reverse deflationary policies of previous governments.

In 1936, Labour used Reserve Bank credit at 1 per cent interest to help finance the building of 6459 state houses and let contracts for a further 3894.

The Democrats for Social Credit (DSC) monetary reform would see a New Zealand monetary authority (NZMA) established that could create credit and manage money as a public utility, for the economic, social and environmental benefit of New Zealand and its people.

Trading banks would become licensed agents of the monetary authority, advancing to their clients credit made available by the

NZMA. Interest charges would be at a low rate to ease the inflation burden of repayment.

This is a better method of financing infrastructure than the present system of banking.

(Published in the Nelson Mail) November 27, 2011

A brighter future Now the 2011 election is over, it's business as usual for the capitalist National Party and government.

With 60 parliamentary seats and 48 per cent of the vote, it can govern with the help of the ACT, United Future and Maori parties, providing confidence and supply votes for favours in return.

The public of Aotearoa/New Zealand has given National a mandate to go ahead with part sales of state assets. The money from these sales will go into a fund for expenditure on infrastructure (i.e. more assets). Once this fund has been cleaned out ‐ what then?

The public will live to regret National's asset sales and debt borrowing agenda in the long run.

National's election campaign slogan was "building a brighter future." Well, it will be a brighter future for the wealthy few, but not so bright for those on middle to low incomes.

More than 100,000 Kiwis have left New Zealand for Australia, because there’s a brighter future across the Tasman.

(Published in the Nelson Mail)

February 16, 2012

Debt spending The Local Government Commission recently announced plans to amalgamate the Nelson City and Tasman District Councils.

Residents are being offered the opportunity to vote in a postal ballot. A majority of 50% will be needed for the plan to succeed.

The people of Nelson and Tasman need to be reminded that voting for the amalgama‐ tion would combine the Nelson City debt of $59 million (@ 30/6/11) and Tasman District Council debt of $140 million. Rates and water charges will rise to meet this debt burden. Amalgamation would see a bigger council and administration under a CEO needing to consider the needs of an urban and rural community. Councils have got to realize that they can’t keep debt spending like the NZ government.

If a Democrats for Social Credit government was in power it would issue Reserve Bank credit at 0%‐3% interest to assist local governments finance their infrastructure.

March 29, 2012

Economic collapse The USA national debt has reached $15.5 trillion. It has risen $5 trillion in 3 years of President Obama’s first term of office. If he is re‐elected in November it will continue to rise to $20 trillion by 2016. Obama has asked the US Congress to raise the debt barrier, rather that to have any solution to cutting the debt spending. It’s not sustain‐ able and will lead to another financial and economic collapse.

As American debt soars, the Pentagon is preparing for a new kind of global warfare using money markets, not mortars Economic war? It sounds preposterous. Except it gets less so with every dollar of debt run up by America: currently US$14.3 trillion (NZ$17.37t) and counting. (US$15.5 trillion in March 2012) These figures have added grey hairs to US President Barack Obama's head, and not just for the obvious reasons. Behind the scenes it is the military who are worried about the market. For who owns much of this debt? China, the USIs most powerful rival and threat.

And that makes America vulnerable to a new kind of bloodless but ruthless war.

Of course, economic warfare is not new. Winston Churchill created a Ministry of Economic Warfare, to run as a "new instrument of war" against Hitler. Embargoes and sanctions have been targeted at dozens of countries, from South Africa to the Soviet Union.

Guardian Political Review, Issue 61, 2012 - Page 16

But this is different. The markets are now global, the holdings in each other's finances deep, and the technical ability to manipulate them instantaneous.

Or a terrorist organisation might trigger a financial crash via some kind of shady hedge fund or computer attack.

For an enemy that cannot match the US on land, sea or air, the temptation to fight in the financial markets is great.

The markets are more vulnerable than ever, the methods for attacking them are easy and inexpensive, and the returns in terms of destruction of wealth and confidence are inestimable.

The Times, reproduced in The Nelson Mail (contributed by Adrian Bayly 17/8/11)

WORLD NEWS A recipe for revolution According to Jean‐Claude Juncker, chairman of the Eurogroup of finance ministers, the €130 billion bail‐out "provides a comprehensive blueprint for putting the public finances and the economy of Greece back on a sustainable footing, and hence for safeguarding financial stability in the euro zone".

That statement is wrong on every count.

It is not a comprehensive blueprint; it is a sticking plaster. It is not sustainable; sooner, rather than later, Greece will be back asking for more. And it will not safeguard financial stability in the longer term. The euro zone's own debt stability report warns of the strong possibility it will have to stump up another €245 billion for Greece by the end of the decade.

Greek riot police

being stripped of its sovereignty.

Commissars from Brussels and the International Monetary Fund will be installed in the Greek finance ministry to run the country's economy. The Greek Parliament has been ordered to amend the country's constitution to impose a statutory obligation on the Government to give debt‐servicing

But only a starry‐eyed optimist would believe this shabby deal will do anything other than buy a little time. And far from creating stability, it threatens the opposite.

The irony will not be lost on people that the deal means the birthplace of democracy is

payments priority over all other public spending. Put simply, the Greeks are being forced by people over whom they have no democratic control to pay their taxes to overseas creditors. Will the Greek people stomach this for long? We doubt it. This is a recipe not for stability, but for revolution.

The Daily Telegraph UK 21/2/12

Quakers support Kucinich From Stephen Zarlenga, Director American Monetary Institute www.monetary.org

In addition, The American Friends Service Committee (Northeast Ohio) has endorsed HR 2990. The Committee is a Quaker social action organization that educates, advocates and organizes for economic and social justice, peace and self‐governance. It said: “The bill promotes economic justice by funding the creation and repairing of our physical and social infrastructure. Millions of quality jobs would be created under the bill — helping put people back to work, addressing the needs of our communities and laying the foundation for a sustainable economy. The NEED Act promotes political justice by restoring the power and authority,

The 29,000 member Chicago Teachers Union has passed a resolution in strong support of Congressman Dennis Kucinich's HR 2990 NEED Act (National Employment Emergency Defense).

Kucinich's HR 2990 dismantles the Federal Reserve System, ends "fractional reserve" banking, and provides for funding the $2.2 trillion the engineers need over the next 5 years to repair infrastructure; which solves the unemployment problem.

Also supporting the Bill are The International Association of Machinists and Aerospace Workers.

EU countries plan Financial Transactions Tax From eu.observer.com

A group of nine euro‐countries led by France and Germany (7/2/12) asked the Danish EU presidency to fast‐track plans for a financial transactions tax, stating: "We strongly believe in the need for a financial transactions tax implemented at European level as a crucial instrument to secure a fair contribution from the financial sector to the costs of the financial crisis and to better regulate European financial markets," The nine signatories are the finance ministers of France, Germany, Austria, Belgium, Finland, Greece, Spain, Portugal and the Prime Minister of Italy, Mario Monti, who also holds the finance portfolio.

Guardian Political Review, Issue 61, 2012 - Page 17

The proposal by the EU commission is to introduce a 0.1 percent tax on stocks and 0.01 percent on trading in derivatives ‐ the larger and riskier financial market held widely responsible for the 2008 financial crisis.

Britain and a handful of other countries oppose the tax arguing that it will lead to business flight and job losses in their financial sectors, making an EU‐wide tax highly unlikely. The British argument that investors will flee once the tax is introduced is incorrect, said Avinash Persaud, a London‐ based investment consultant, since the government already levies a stamp duty ‐

as stipulated in the U.S. Constitution, to issue and circulate money to We the Dennis Kucinich People through our government. The Federal Reserve would become accountable to the public. Banking corporations would no longer be permitted to create money as debt out of nothing.

Banks could only loan money they possess.

The NEED Act is a significant contribution to the growing national movement to control both the economic and political power of financial corporations and to (re)assert self‐ governance across our nation that is just and inclusive." unilaterally introduced in 1986 ‐ on stocks traded in the City, Economists say the introduction is a positive step. "The financial sector played a major role in the 2008 crisis, but it still remains one of the most under‐taxed parts of the economy, for instance they pay no VAT," Stephany Griffith‐Jones from Colombia University told an EU parliament hearing on Monday.

"Forty percent of this levy is paid by foreign residents. So far from sending them abroad, this stamp duty is paid by more foreigners than any other tax," he pointed out.

For its part, the EU Commission estimates that over €50 billion could be raised within the bloc if such a tax was introduced.

Canadian Comment

by Helge Nome

I am a vice president of the Alberta Social Credit Party.

Canada has a rich Social Credit heritage, both on the provincial and federal level.

I recently happened to come into possession of three books written by Canada's National Social Credit Party Leader Robert Thompson.

Social Credit Party Leadership Convention, Ottawa, July 1961 (Robert Thompson centre).

Robert Thompson got his start in (Library and Archives Canada) politics during the heady days of the and initiative. However, this freedom 3. Social Credit believes that the winter of 1935 right here in the small must be accompanied by a security potential production of Canada, community where I live, of Caroline, which protects man from forces around especially with the introduction of Alberta, (pop 500+) when some 300 him greater than himself, in his pursuit automation, could satisfy the material locals had assembled in the Caroline Hall of happiness and satisfaction, while needs of all Canadians. and that a to hear one of William Aberhart's emissaries from Calgary speak The time has now come for Social Credit to re‐surface fundamental monetary reform on the subject of Social Credit. to protect the individual from sneaking collectivism could permit the provision to all Canadians of what is seeking to elevate minorities into positions of Unfortunately, he didn't make absolute power over their fellow human beings physically possible and it to the meeting. After having desirable. The credit of Canada waited for an hour for the guest to guaranteeing him the right of private is based upon the natural and human appear, a couple of the locals grabbed property and the opportunity to obtain the 20 year old Robert, put him on his basic physical needs of food, clothing resources of this rich country, and should therefore be used for the common stage, and let him go at it. The rest is and shelter. wealth rather than for private profit. history, as they say.

2. Social Credit believes that the state In his book Commonsense for was devised to assist man; not that man Social Credit is an interesting Canadians (published by McClelland and was created to serve the state. The philosophy that attracts people from all Stewart, 1965) a mature Robert major function of government is to sides of the political spectrum where Thompson explains the principles of ensure a climate of equal rights and the importance of the individual is Social Credit: universal justice in which man may valued. manage his own affairs. Man is entitled 1. Social Credit believes that the The time has now come for Social to, and must have, complete freedom of sanctity and dignity of the individual Credit to re‐surface to protect the expression, action and decision in every demand a guarantee of security and individual from sneaking collectivism freedom. The basis of true law is that all sphere of life within the necessary limits seeking to elevate minorities into imposed by a respect for equal rights of men are created equal, and that they positions of absolute power over their others and the eternal laws of right and must have the opportunity for the full fellow human beings. wrong. development of their own personality

Guardian Political Review, Issue 61 - Page 18

Whitmill's World Colin J Whitmill reports from the U.K.

British taxpayers still the last line of defence for bankers An interim report by an Independent Com‐ mission on Banking claimed that Britain's big banks benefit from an implicit state subsidy worth "considerably more” than $20,000 million a year by virtue of being headquar‐ tered in the overcrowded island.

That's because investors assume British taxpayers will bail out banks again when they next blow up.

People, especially mothers, are lazy ‐ they don't work Conventional economics think that somebody who looks after a sick child, for example, does no work! This is because conventional economics, viewing the paid economy as the same as society, completely ignores the incalculable productive value of people such as carers who selflessly serve others in myriad unpaid ways including nurturing the next generation.

of its most senior scientists, and then the Intergovernmental Panel on Climate Change was forced to retract its claim that the Himalayan glaciers would all melt by 2035.

More recently, some forecasters have claimed that the climate may actually get a little colder over the next few decades as a consequence of reduced solar flare activity.

Maybe those polar bears were not drowning after all, but waving.

[London Sunday Times editorial 31‐7‐11]

[The Modern Universal Paradigm by Rodney Shakespeare]

Economic woes spark rise in UK depression Research by the BBC shows that, over the last four years, prescriptions for anti‐ depressants have risen by 43%. This was a time when the country had the bankers' crisis, recession and the start of austerity measures ‐ but not for the rich.

This prescription increase, according to the "experts", could be down to money problems. Doctors and charities said they were being contacted by people struggling with debt and job worries.

The remedy, surely, for the causes of this depression is a dose of social credit monetary reform.

Government borrowing is defered taxation That is the opinion of Paul Staines writing a column in The Times of London [13‐5‐11].

He wrote, inter alia, Government borrowing is merely deferred taxation, so this gen‐ eration is passing on a terrible inheritance of indebtedness that will burden my children and my children's children with higher taxes.

Debt interest payments are set to double and will eventually cost more than the education budget. That is a stupendous waste of money that could be spent educating our children instead of servicing the bloated debts to the bond market.

Just who does run Ireland?

Matt Cooper, author of Who Really Runs Ireland?, writing a column in the London Sunday Times [22‐5‐11], after a visit to Ireland by Queen Elizabeth, felt that there was a wonderful sense of Ireland having matured after 90 years of independence from Britain. He commented, though: The irony is that all this is happening just after we lost much of our economic sovereignty because of our misjudged entry to the euro and the chain of events that culminated in our surrender to the International Monetary Fund, European Union and European Central Bank.

Guardian Political Review, Issue 61, 2012 - Page 19

Did they realise what they said?

The Australian‐owned ANZ Bank advertised 24‐6‐11 that it was passionate about helping the people of Christchurch so much so that it was to provide up to $1,000 million in mortgage finance to help those living in the condemned red areas. That's why we've created a $1,000,000,000 kick‐ start fund.

It is to be wondered whether the PR people who prepared the advert realised what they had admitted: they had created a billion dollars. Not unusual because that's what banks do ‐ create money, or rather debt ‐ but they rarely like to admit it in case someone asks why are they allowed to.

If the government was passionate about helping the people of Christchurch, it could have asked the Reserve Bank to create a $1,000,000,000 kick‐start fund ‐ but without the compensation and salary handcuffs ‐ and without the interest charges too.

If the ANZ Bank can create a billion dollar fund, why can't the lender of last resort, the Reserve Bank, do so similarly if its owners (us) requested it?

Were the polar bears waving?

The American scientist who told us that polar bears were drowning because of global warming has been suspended over alleged "integrity issues" associated with his research. This has been a bad couple of years for the adherents of climate change.

Leaked emails cast doubt upon the honesty

Think before you leap to conclusions The climate has been changing for thousands, even millions of years. Nor do I know of any serious observers who deny that the planet has warmed over the past 150 years. Most scientists accept that on its own CO2 has greenhouse properties. The real debate is not about whether the planet has warmed, but about the climate change sensitivity, i.e. the coefficient linking CO2 and temperature, the strength of feedback mechanisms such as water vapour and the relative contributions of mankind and nature ‐ sun, oceans, clouds and so on.

The issue is not whether humans have caused climate change, but what are the relative contributions of man and nature in the observed warming.

Lord Turnbull – trustee of the Global Warming Policy Foundation, [London Sunday Times 31‐7‐11]

Referendums are the grown‐up way of making decisions Melanie McDonagh writing a column in the London Sunday Times [7‐8‐11] I still think referendums are the single best way of determining what we actually want.

Forget e‐petitions and people's juries of a thousand citizens; just ask the people what they think in a proper ballot.

The real objection, of course, to popular referendums is that the governing classes are terrified about what the citizens will come up with. Last week, for instance, we learnt from an Ipsos poll that 71% of Brits think Britain has too many immigrants. So I think we know what the result would be of a poll asking people what they think of Turkish membership of the EU ‐ whereby an unknown proportion of Turkey's 76 m population would be allowed to come here to live and work ‐ don't you?

The Irish are perhaps the only people in Europe who were obliged to consider successive EU treaties because they had to vote on them. (continued on next page)

(continued from previous page)

Unfortunately, when the Irish came up with what the EU considered to be the incorrect answer they were made to go back and vote again until they gave the correct response.

That's not what direct democracy is meant to be about: you have to trust the people not just to choose from a list of individuals picked by the party machines, but also to decide important issues.

Mum and dad surely don't have this power The Nelson Mail [9‐8‐11] had an article headlined Sharemarket falls as retail investors panic. It described the reason for this as Mum and dad investors hit the panic button causing the share market to fall as much as 3.3 per cent early yesterday and another 2.8 per cent in early trading this morning.

I find this strength and power of mum and dad investors to influence New Zealand's stock market at odds with the rest of the world. How many kiwi mums and dads telephoned their brokers to sell their shares?

By the time they had made the call, and spoken with the broker ‐ say three minutes ‐ 3,240,000 transactions could have already taken place. How their few trades would have influenced the market with high frequency trading at 18,000 trades a second is a mystery.

In the USA, high frequency trading involves 70% of the market and in Britain it is said to be 50%. Although I don't know, I find it difficult to believe that the money movers would not have moved into New Zealand with their computorised manipula‐ tion of the "market" to the detriment of individuals who study company form and decide where to place their bets.

Mum and dad really have no chance against the big boys and they really don't have the influence which the Nelson Mail leads us to believe they do.

Looting ‐ no differences A Michael Parsons in a letter to the London Sunday Times [21‐8‐11] with an address given as Christchurch, New Zealand observed I cannot see the difference between a mob of youths robbing DVD players, a mob of MPs fiddling their expenses and a mob of financial institutions fleecing all of us with their labyrinthine schemes.

The difference, Mr Parsons, is obvious; The youths get jailed, the MPs get bigger salaries and expenses, and the bankers get larger salaries and bonuses.

Funding is the biggest obstacle to clean, plentiful energy The London Sunday Times [28‐8‐11] reports that Professor Stephen Sweeney, an expert on photonics (the science of light), is heading a team involved in a SBSP (space‐based solar power) project at Surrey University in Guardian Political Review, Issue 61 - Page 20

conjunction with the space exploration arm of EADS, the European aerospace giant.

The team is looking at the possibility of putting satellites covered in solar panels into orbit where energy from the sun can be captured five times more efficiently than on the ground. It would be transmitted back to earth with powerful lasers or microwaves and converted into electricity. The team is planning to use lasers no more harmful than the beam from a television remote control.

Peter Sage, co‐founder of a private Swiss company vying to build the first scheme, said that the biggest obstacle to the implementa‐ tion of the idea within the next decade was funding.

Are you listening?

Baltimore,0900 hours. An NSA computer picks up a fragment of conversation between a man in northwest Pakistan and his friend in a Gulf state. Drones track a vehicle to a compound, where a tall man in a white robe may or may not be Bin Laden. And so on.

The fact that someone in Baltimore can listen in on a mobile‐phone conversation in northwest Pakistan when I can't even get a Vodaphone signal in Sevenoaks is just plain irritating.

GM seeds and suicide In the past sixteen years more than a quarter of a million farmers in India have killed themselves. According to a report in the London Sunday Times [20‐11‐11] the rate is continuing to rise as farmers are driven to despair by the low price they receive for their cotton, debt and crop failure which, in itself, is due partly to genetically modified seeds.

A campaigner for farmers said they are sold these modern seeds and modern chemicals and have to take on large debts to buy them. The problem is they need a lot of water, which is in short supply, and then when the crop is poor and they have to repay the money lenders, they despair and commit suicide.

[Television reviewer, London Sunday Times 11‐9‐11, of programme Bin Laden ‐Shoot to Kill ]

They'll be thinking of social credit next Adam Posen, a member of the Bank of England's monetary policy committee, has called for the government to set up a state bank to lend directly to small firms.

[London Sunday Times 25‐9‐11]

Adam Posen

What do we want? ‐ a public bank!

One of the demands voiced by protesters in the Occupy Wall Street movement is for a "public option" in banking. What that means was explained by Dr. Michael Hudson, Professor of Economics at the University of Missouri in Kansas City, in an interview by Paul Jay of the Real News Network on October 6: [T]he demand isn't simply to make a public bank but is to treat the banks generally as a public utility, just as you treat electric companies as a public utility. . . . Just as there was pressure for a public option in health care, there should be a public option in banking. There should be a government bank that offers credit card rates without punitive 30% interest rates, without penalties, without raising the rate if you don't pay your electric bill. This is how America got strong in the 19th and early 20th century, by essentially having public infrastructure, just like you'd have roads and bridges. . . . The idea of public infrastructure was to lower the cost of living and to lower the cost of doing business.

The future of Higher Education Job training or the lack of it is not even relevant to the issue of unemployment. The problem frequently is not a lack of training at all, but a lack of available jobs. The society has only a limited number of jobs in which persons of average mental capacities can produce enough wealth to justify present‐day inflated wage rates. In order to screen a large number of applicants for a small number of available jobs, employers require credentials, such as high school diplomas or college degrees.

James Albus in his 1976 book Peoples' Capitalism

Good agony‐aunt advice The London Sunday Times [27‐11‐11] in one of its many supplements, which takes a week to read, has a spoof agony‐aunt column which, at odd times, gives reasonable advice. For example, someone wrote that a merchant banker friend had asked the writer to sponsor a charity appeal.

Having just completed a stint on a Jobseekers Allowance, my enthusiasm for giving money to bankers is not great.

Asked what to do, Mrs Mills advised:‐ Bundle together several of your debts ‐ the £20 you owe your girlfriend, the £28 round of drinks you'll have to get in next Saturday, the £43 milk bill, that kind of thing ‐ and issue them as a bond to your banker friend.

Assure him that this bond will compound at 5.25% per annum, while you will be paying him 7.5% of the total amount annually until it is cleared, with the first instalment due in November 2012. Then default.

(END)

ON THE SKIDS

NEWS BITES - hunting through the media jungle!

ABSURD Official Information Act enquiries by the Democrats for Social Credit reveal the weird and wonderful government processes under which DHBs are forced to pay huge interest on loans for capital works. For example, according to interest figures supplied by Health Minister Tony Ryall, the proposed $38million loan to the West Coast DHB would attract interest of $15,693,367 calculated at simple interest if repaid over 10 years. Given the long‐standing parlous state of many DHBs’ finances it has to be questioned as to why the public health system is being burdened with such absurd financial arrangements when government could legislate to arrange such loans through the Reserve Bank at minimal rates to cover administrative costs.

David Tranter, DSC Health Spokesman. Media Release 18/3/12

YOUR CALL IS IMPORTANT Foreign Affairs is among departments trying to bring in effective pay cuts for its staff at the same time as the 300 redundancies. In a spot of bother overseas?

"Phone 0800 MFat, and press 1 for lost passport, 2 for child abduction, 3 for narcotics charges, 4 for muggings, 5 for civil war, 6 for al Qaeda kidnapping ... You are 1459th in the queue. Thank you for waiting, your call is important. [To you.]"

Jane Clifton, NZ Listener 17/3/12

GULAG NZ? The Government has announced that a new 960‐bed prison will open in South Auckland. It will the flagship for the new public‐private‐partnership mode of building, funding and running state institutions. The primary goal of any private company is to maximise profits. One suspects that this equates with maximising the number of "units" (prisoners) serviced, and minimising the overheads pertaining to each. In the United States, where private prisons are the norm rather than the exception. it is sobering to note that overall, there are now more people under correctional supervision than there were in the Gulag Archipelago under Stalin at its height.

Simon Cunliffe, Otago Daily Times 14/3/12

BANAL & IRRELEVANT How banal and irrelevant the news is to most of our daily lives. It always amazes me that New Zealand has TV news bulletins that are an hour long when there is, at best, 10 minutes of real news. This probably explains

Guardian Political Review, Issue 61 - Page 21

why One News begins the programme with a weather update, then halfway through has a segment telling you what the weather was like today (you could, of course, find out first‐hand by looking out the window), and concludes the bulletin with tomorrow's forecast. The weather, promos, recaps and updates successfully fill out into an hour what should take only 10 minutes.

Bill Ralston, NZ Listener 21/4/12

HACKING YOUR VOTE In 2010, Washington DC unveiled its state of the art internet‐based electronic.voting system. People were invited to test the new system. Within 48 hours the hackers had gained near‐ complete control of the entire election system ‐ an unlisted election candidate was the leading contender, with 100% of the vote. Professor Alexander Halderman from the University of Michigan noted, "How often do you get the chance to hack a government network without the possibility of going to jail?" More than 30 US states use electronic voting systems.

Sunday Star‐Times 8/4/12

DONATION RETURNS In candidate expense and donation returns just released by the Electoral Commission, Maori Party co‐leader Pita Sharples disclosed $55,000 of donations, including $20,000 from Fletcher Construction and $25,000 from Mainfreight's founder and chairman Bruce Plested and $10,000 from Chinese investor and businessman Richard Yan. Dr Sharples declared spending of $16,689 in the election period.

NZ Herald 10/4/12

RIO TINTO ROGERED The Roger Award for the Worst Transnational Corporation operating in Aotearoa/New Zealand in 2011 has been awarded to Rio Tinto Alcan NZ Ltd. Known for decades under its previous name of Comalco, it is the majority owner of the Bluff smelter operated by New Zealand Aluminium Smelters Ltd. The judges concluded that the company has a 50 year history of “suborning, blackmailing and conning successive New Zealand governments into paying massive subsidies on the smelter’s electricity; dodging tax, and running a brilliantly effective PR machine." The smelter’s claimed benefits to NZ of annual export earnings “around $1 billion” are, in fact, overstated by four fifths.

Organisers: CAFCA and GATT Watchdog

The president of the Athens Chamber of Commerce, Constantine Michalos, says not just Greece, but all of Europe is on the skids.

"I don't think there is a survival scenario for Europe in the medium to long term," he said. Greece is the weak link "in a long chain of events" that began with the United States banking crisis, but "quite honestly, I don't think there is a sustainable solution".

Otago Daily Times 20/2/12

FALL LIKE DOMINOES? There will be at least three referenda on fluoridation next year: Whakatane, Hamilton and Hastings. With Taumarunui and New Plymouth councillors choosing to stop fluoridation last year, the remaining councils could fall like dominoes. www.fannz.org.nz 19/4/12

MITT ROMNEY Mitt Romney wants to be president of the United States. Last year Mitt earned about $20million. Earned doesn’t mean earned.

Mitt doesn’t work. He doesn't have to. His money comes from having money. He used to work. He ran a private equity company. I don't know what a private equity company does but I know that equity means money.

So the company used money to make more money. And the money that Mitt made now nets Mitt $20 million a year. That's $50,000 a day. Mitt got $50,000 today. Mitt will get $50,000 tomorrow. I know someone who works with old people; he earns in a year what Mitt earns in a morning. If income equals worth then Mitt is 750 times more worthy then he is.

Joe Bennett, Otago Daily Times 2/2/12

MESMERISING EXTRAVAGANCE Prime land and property in Britain has increasingly shifted from ownership by those with inherited wealth to the beneficiaries of the boom in the world’s money markets.

The traditional aristocratic season of Ascot, Henley and Wimbledon, its rituals of dress and insouciance, is embraced by the global elite with similar mesmerizing extravagance.

The Observer UK 15/8/1

TRICKLING UP Are the All Blacks ours, or are they the possession of global corporates and obsessive sponsors? Former All Blacks captain Chris Laidlaw believes professional‐ ism was “bleeding” grass‐roots rugby dry.

“Sponsors are not interested in lower‐grade teams. The game is dying at grass‐roots level.” Much of the money generated by professional rugby was trickling up to the IRB rather than down to amateur club level.

John Lewis, Otago Daily Times 8/11/11

FINANCIAL PERFECT STORM

CRONEYISM Key's decision to appoint his electorate chairman to the board of New Zealand on Air is out‐and‐out croneyism, a job for a boy, a reward for a National Party mate. The conflict of interest is obvious: will he meddle in broadcasting to serve his party's interests or not?

Anthony Hubbard, Sunday Star‐Times 25/3/12

WHAT BETTER PERSON? What better person to keep a close eye on Radio New Zealand's already straitened purse‐strings than the new Minister of Broadcasting, Craig Foss. He was "chief dealer long‐term interest rates" with BNZ in 1991, and in 1993 he was employed by Credit Suisse Financial Products, London.

Just the right background for the minister in a government which has paid scant attention in recent years to providing both financial and cultural encouragement for our public broadcaster.

Clarke Isaacs, Radio Review, Otago Daily Times 8/2/12

SELF‐SERVING The word "reform" drips readily off the tongues of politicians. As long as, that is, the said reform applies to others and not themselves. It is a very different matter when political parties' self‐interest is at stake. Witness the self‐serving submissions made by National and Act NZ on the Electoral Commission's review of the workings of MMP, particularly the question of the retention of the so‐called "one‐seat threshold", which has proved to be manifestly unfair.

John Armstrong, NZ Herald 21/4/12

AN EXTRA‐ORDINARY PERSON There are 109 reasons to celebrate Maudie Wilson, born March 23, 1903 – the same year as the Wright brothers’ first recorded flight. She is regarded as New Zealand’s oldest resident. Mrs Wilson has lived a very full life but at her 109th birthday party in Invercargill (23/3/12) she said: “I’m just a very ordinary person”.

Otago Daily Times 24/3/12.

Note: Mrs Wilson is the grandmother of DSC leader, Stephnie de Ruyter – and a current DSC member, paying the sub on her birthday each year.

Guardian Political Review, Issue 61 - Page 22

Financial and energy analyst Nicole Foss says the current financial crisis is only a sign of things to come and believes a depression, reminiscent of the Great Depression in the 1930s, is around the corner. "We haven't seen anything yet of a credit crunch, we are closer to the start than the end of a financial crisis," she says. "The last depression lasted 10 years; I would be very surprised if this depression doesn't last as long." The approaching "financial perfect storm" would see unemployment soaring while incomes drop and benefits disappear; “People would stop spending and the economy would freeze solid”.

Oamaru Mail 3/3/12

ALL IN A DAY'S WORK Yesterday, 250 million photos were uploaded to Facebook, 864,000 hours of video were uploaded to YouTube, and 294 billion emails were sent fastcompany.com 25/4/12

HUMANE PETITION 242,149 animals were used in New Zealand for research purposes in 2010.

Commercial organizations accounted for the largest share. The Humane Society International is supporting a petition to end testing of cosmetic products on animals, a practice banned in the European Union.

Otago Daily Times 5/3/12 & 25/4/12

INTEREST‐ING By the end of fiscal year 2011, the US federal government is projected to have spent more than $420 billion on debt interest payments. All told, America is expected to borrow around $1.6 trillion to pay its budget bills this year. That means one out of every four dollars America is borrowing is going to pay the interest on its borrowed money. I repeat: America is borrowing money—at interest—to pay the interest! Try doing that with your credit cards and see how long you last.

The Philadelphia Trumpet, July 2011

THE GREAT LIE The European Union was founded on a lie: the great lie that it was only ever to be a democratic, free‐trade institution. But it was anything but democratic in intent, and, from its very beginnings, was destined to be‐come a political union. European elites have, via a series of treaties, steadily worked to develop the original Common Market into the impe‐ rial political enterprise that it is today. But this is a deeply flawed enterprise. The monolithic union of 27 nations is riddled with fraud, corruption and a deeply entrenched spirit of outright deceit.

The Philadelphia Trumpet, July 2011

WELCOME AS National’s Act‐ driven intention is to trial so‐called charter schools. The creation of these “independent state‐funded schools” has been given the same kind of welcome by the education establishment as Dracula got on visiting the blood bank.

John Armstrong NZ Herald 10/12/11

DAMAGING Fishing companies say they cannot pay higher wages to crews of foreign charter fishing vessels, but some don't mind giving cash to politicians. Electoral Commission returns show Labour MP Clayton Cosgrove accepted $17,500 from Independent Fisheries of Christchurch at last year's election. Some of its catch came from Korean boats. Labour MP Shane Jones received $10,000 from Nelson's Sealord Fisheries, part‐owned by iwi, and which uses Ukrainian boats. United Fisheries Ltd gave $3000 to Labour MP Megan Woods and $2800 to National MP Nicky Wagner. The Christchurch company uses Korean foreign charter vessels recently condemned in a ministerial report for damaging New Zealand's international image.

Sunday Star‐Times 15/4/12

of many DHBs finances it has to be questioned as to why the public health system is being burdened with such absurd financial arrangements, when Government could legislate to arrange such David Tranter, a former board member loans through the Reserve Bank at mininow living in Australia and spokesman mal rates to cover administrative costs," for Democrats for Social Credit, said that Mr Tranter said, The Minister said the Crown charged according to interest figures supplied by interest because the money owed by the Health Minister Tony Ryall, the proGovernment to fund developments had posed S38m loan to the West Coast DHB to be borrowed, and that Government would attract interest of $15,693,367 if borrowing also attracted interest, repaid, over 10 years.

A former West Coast health campaigner says the proposed $38 million rebuild of Grey Base Hospital could cost an addition $15.6 million in interest repayments alone.

"Given the long-standing parlous state

Greymouth Star 24/3/12

Goldman Sachs. As a Der Spiegel investiga‐ tion showed, Greece and Goldman used "blatant balance sheet cosmetics" to disguise what was really going on. Goldman is a master of financial "pass the parcel".it's hard to avoid the conclusion that the bankers and politicians have a lot to answer for.

Robert O'Neill, Sunday Star‐Times 6/11/11

OBFUSCATING "If I had quite specifically and quite easily answered all of those questions upfront, contrary to the legal advice, then I wouldn't find myself in this situation where people think I'm obfuscating."

Roger Douglas with Prime Minister David Lange after Labour's 1987 re-election.

INEPT ROGERNOMES New Zealand has had two great economic booms ‐ during the Liberal era from about 1895, and from about 1935 while the first Labour Government was in power. In the postwar era, with two exceptions, the New Zealand economy grew at the same rate as other rich economies. One exception is in the decade after the wool price collapsed in 1966. The other exceptional period was the eight years from 1985 to 1993 when the economic policies we call Rogernomics ruled.

At the end of the period, per capita GDP was behind the rest of the OECD by 15% or so; we have not caught up. Inept economic management by the Rogernomes remains the best explanation we have.

Act leader John Banks 4/5/12

WHAT A LAUGH News that the Big Five Australian banks made a combined NZ profit of $3 billion in 2011 means only one thing – they’re making money out of us. They must be laughing all the way to the bank. Hang on, they are the bank.

Murray Horton, CAFCA 11/2/12

TENANTS IN OUR OWN COUNTRY National was unequivocal that it would raise capital for the electricity companies by floating up to 49% of them to private investors. It had said "mum and dad" investors, but we all know that big investors like hedge funds would become the primary minority stake‐holders in the end. It also said "mixed ownership model" rather than "asset sales", but most people understood it to mean "selling the family silver", or near as dammit. The Crafar farms represent a tiny proportion of land that has been sold to foreigners under administrations led by both major political. As Prime Minister John Key has so resonantly said, "Looking four, five, ten years into the future, I'd hate to see New Zealanders as tenants in their own country, and that is a risk, I think, if we sell our entire productive base." That risk, he said, was something the Government would "consider".

Jane Clifton, NZ Listener 11/2/12

Brian Easton, NZ Listener 28/4/12

THE TWO DAVIDS David Lange had one thing going for him that Labour leader David Shearer does not ‐ a gift for oratory. The problem with David Lange's remarkable gift for public speaking was that it masked the fact that he was actually the creature of Roger Douglas.

David Shearer's singular lack of political leadership skills has spared us that fate.

Christ Trotter, Otago Daily Times 27/4/12

GOLDMAN'S GREEK TRAGEDY Greece should never have been admitted into the European Union as it was clearly in breach of the admission rules ‐ but it had a very clever helper in investment banker

Tremain, Otago Daily Times

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Guardian Political Review, Issue 61, 2011 - Page 23

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